Southern States Bancshares Inc (SSBK) Q1 2024 Earnings: Exceeds EPS Estimates, Showcases Robust ...
In This Article:
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Net Income: Reported at $8.1 million, surpassing the estimated $7.50 million.
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Earnings Per Share (EPS): Achieved $0.90 per diluted share, exceeding the estimate of $0.83.
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Revenue: Net interest income reached $20.8 million, falling short of the estimated revenue of $21.60 million.
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Net Interest Margin (NIM): Decreased to 3.59%, down from 3.69% in the previous quarter and from 4.07% year-over-year.
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Loan Growth: Experienced a significant linked-quarter loan growth of 17.2% annualized.
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Deposit Growth: Total deposits grew by 18.3% on an annualized basis from the previous quarter.
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Efficiency Ratio: Maintained at 46.90%, indicating operational efficiency.
On April 22, 2024, Southern States Bancshares Inc (NASDAQ:SSBK) released its 8-K filing, unveiling the financial results for the first quarter of 2024. The company reported a net income of $8.1 million, translating to earnings of $0.90 per diluted share, which surpasses the analyst's estimate of $0.83 per share. This performance indicates a significant improvement from the previous quarter's earnings of $0.85 per share and highlights the company's ongoing financial strength and operational efficiency.
Company Overview
Southern States Bancshares Inc operates as a full-service community banking institution, providing a wide range of banking products and services. The bank serves businesses and individuals across its communities, with a portfolio segmented into real estate, commercial and industrial, and consumer and other loans. It operates 13 branches in Alabama and Georgia, along with two loan production offices in Atlanta.
Financial Performance Highlights
The company's net interest income for the quarter stood at $20.8 million, marking a 2.1% increase from the previous quarter and a 6.6% increase year-over-year. Despite the challenging interest rate environment, Southern States managed to expand its net interest margin (NIM) slightly to 3.59%, although this represents a decrease from 4.07% in the same quarter the previous year. This was primarily due to higher costs of interest-bearing deposits which outpaced the yield on interest-earning assets.
Significantly, the bank achieved a 17.2% annualized growth in loans and an 18.3% growth in total deposits from the previous quarter, demonstrating robust business acquisition and customer retention strategies. Noninterest income, however, saw a decline to $1.3 million, a 59.3% decrease from the previous quarter, mainly due to a lack of large one-time fees that had boosted previous figures.